Stockmann, one of Finland's oldest retailers, announced the sale of their building in central Helsinki.
One of Finland's oldest retailers, Stockmann, has announced the sale of the building housing its flagship store in Helsinki. The object, which has become the visiting card of the company with its 160-year history, has been sold to the insurance company Kaleva.
The sale of the Stockmann department store building in Helsinki's center was announced for the first time in March. Approximately 400 million euros were involved in the deal. During the sale of funds, the group intends to restructure debts in accordance with the previously approved plan.
In the wake of the pandemic and the resulting restrictions, Stockmann faced the worst crisis of its history and was forced to submit a restructuring plan to the District Court of Helsinki. The company also announced the sale of its real estate. The department store will continue to operate on leased space following the sale.
A restructuring plan also included the sale of buildings in Riga and Tallinn while keeping the department store on leased premises. The program is designed to reduce unsecured debt over a period of eight years. The company's primary objective is to generate profit and carry on its operations while successfully servicing its current debt.